The production value of the nation’s textile industry is likely to exceed NT$500 billion (US$16.89 billion) this year, after a 10-year high in textile exports was recorded last year, an analyst said yesterday.
According to a report by Liu Yu-cheng (劉育呈), an analyst with the Taiwan Textile Research Institute, the value created by textile and related industries last year was estimated at NT$498.3 billion, up 3.3 percent from 2010.
The report, issued on Tuesday, covered a wide range of manufacturing sectors within the textile industry, including man-made fibers, fabric and clothing, which accounted for 32.5 percent, 62.5 percent and 5 percent of total production by value respectively.
Data showed that the industry experienced quarterly declines last year because of the slow global economic recovery, the European debt crisis and China’s tighter monetary policy, Liu said.
Since the 2008 financial crisis, the textile industry has been facing falling demand because of high unemployment rates and surging cotton prices between 2010 and last year, Liu said.
However, despite tough market conditions, the industry managed to export US$12.7 billion of goods last year, the highest in the past 10 years, he said.
He forecast that the industry’s production value would fall during the first three months of this year because of the Lunar New Year holiday, but would rebound in the second quarter.
Liu also predicted that the sector’s overall production value would grow by 2 to 3 percent to more than NT$500 billion this year, reaching that level for the first time since 2006.